(NFI) NFI - Ratings and Ratios

NFI Group Inc. is a leading global manufacturer of buses and motor coaches, with a footprint spanning North America, the UK, Europe, and the Asia-Pacific region. The company operates through two primary segments: Manufacturing Operations and Aftermarket Operations. The Manufacturing segment focuses on designing, building, and supporting a wide range of vehicles, including transit buses, coaches, shuttles, and low-floor cutaway buses. The Aftermarket segment, on the other hand, specializes in the sale of aftermarket parts for these vehicles, ensuring a steady revenue stream beyond initial sales.

NFI Group owns several well-known brands in the bus and coach industry, each catering to specific markets. Under the New Flyer brand, the company produces heavy-duty transit buses, which are widely used in urban transportation systems. The Alexander Dennis brand is known for its single and double-deck buses, a common sight in European cities. Motor coaches under the Plaxton and MCI brands serve the premium passenger segment, while the ARBOC brand focuses on low-floor cutaway and medium-duty buses, offering accessibility and versatility for smaller routes or specialized needs. The company also operates NFI Parts, a dedicated aftermarket parts business that supports its diverse fleet of vehicles.

Beyond its core manufacturing and aftermarket businesses, NFI Group has expanded into complementary areas. It supplies, installs, and commissions electric vehicle chargers, as well as builds the necessary charging infrastructure, positioning itself to benefit from the global shift toward electrification of public transportation. Additionally, the company offers motor and pre-owned coach sales, providing customers with options across the vehicle lifecycle. NFI Group also manufactures fiberglass-reinforced polymer components, which are used in various applications, including bus manufacturing, further diversifying its revenue streams.

Founded in 1895 and headquartered in Winnipeg, Canada, NFI Group has a long history of innovation and resilience. With a market capitalization of approximately 1.4 billion CAD, the company is a significant player in the automobile manufacturing industry. Its forward P/E ratio of 11.68 suggests that investors expect moderate growth, while its price-to-sales ratio of 0.45 indicates that the stock may be undervalued relative to its revenue. However, the lack of a trailing P/E ratio raises questions about current profitability, which potential investors should carefully consider. The company’s diversified portfolio of brands, aftermarket services, and strategic investments in electric vehicle infrastructure make it a compelling candidate for those looking to exposure to the evolving public transportation sector.